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From Legacy VDI to Next-Generation DaaS: Why Cloud is the Smart Move for Small to Mid-Sized Organizations

In today’s fast-paced business landscape, small to mid-sized organizations face intense pressure to streamline IT management, enhance user productivity, and control costs. Traditional on-premises Virtual Desktop Infrastructure (VDI), once the go-to solution, is increasingly challenged by its inherent complexity, high operational costs, and scalability constraints.

At Apporto, we recognize that each organization has unique needs. That’s why we offer multiple deployment models:

  • Fully Managed Cloud-Based Desktop-as-a-Service (DaaS)
  • Next-Generation On-Premises Virtual Desktop Infrastructure (VDI)
  • Hybrid Solutions, blending the advantages of cloud scalability with on-premises control

While Apporto provides versatile solutions tailored to diverse organizational requirements, this white paper specifically focuses on illustrating the strategic and financial benefits of adopting our Cloud-Based Fully Managed Desktop-as-a-Service (DaaS). Using real-world data and clear cost comparisons, we’ll demonstrate why transitioning from traditional, on-premises VDI to Apporto’s cloud-native DaaS solution represents a transformative step for growth-oriented small to mid-sized businesses.

 

The Challenge with On-Premises VDI

Traditional VDI platforms like VMware or Citrix were once dominant, but today they’re increasingly problematic for growing organizations. Key challenges include:

  • High Costs & Complexity
    • Significant upfront investments in hardware, software licenses, and periodic hardware refreshes every 5 years.
    • Substantial ongoing operational costs for IT staff, infrastructure management, maintenance, power, and cooling.
  • Rigid Scalability
    • Difficult and costly to scale in response to dynamic business needs or remote workforce expansion.
  • Inconsistent User Experience
    • Often suffers from lag, inconsistent performance, and limited flexibility in supporting multiple devices and operating systems.

Case Example (Estimated Cost Breakdown for 5 years, 100 desktops):

  • Hardware and Infrastructure: $180,000 – $258,000
  • Software Licenses: $22,000 – $38,000
  • Operational Costs: $475,000 – $675,000
  • Power & Cooling: $19,500 – $40,000
  • Soft Costs (productivity losses, training): $85,000 – $91,000

Total Cost of Ownership (TCO):
$781,000 – $1,102,000

 

The Cloud-Based Fully-Managed DaaS Alternative

Cloud-based Fully-Managed Desktop-as-a-Service (DaaS) solutions like Apporto offer a modern, scalable, and simplified approach to virtual desktop delivery:

  • Simplified Infrastructure & IT Management
    • Eliminates infrastructure complexity, freeing IT teams from mundane tasks.
    • Provider-managed hardware refreshes, reducing capital expenditures.
  • Enhanced Security & Compliance
    • Integrated Zero Trust security model, delivering granular role-based access control and simplified compliance.
  • Optimized User Experience
    • Browser-based, device-agnostic delivery enabling secure access anytime, anywhere, on any device.
    • Native-like performance (4K @ 60fps, multi-monitor support) significantly improves employee productivity and satisfaction.
  • Flexible and Predictable Cost Structure
    • Predictable, transparent pricing without hidden fees, significantly reducing Total Cost of Ownership (TCO).

Case Example (Estimated Cost Breakdown for 5 years, 100 desktops):

  • Hardware and Infrastructure: $20,000 – $28,000
  • Software Licenses: Included
  • Subscription Fees: $144,480 – $273,480
  • Power & Cooling: Minimal or Included
  • Soft Costs: $31,000 – $33,000

Total Cost of Ownership (TCO):
$295,000 – $534,000

 

Comparative TCO Analysis

A direct comparison clearly illustrates substantial savings and operational advantages offered by a cloud-based, fully-managed  DaaS solution:

Metric

On-Prem VDI (5 yr)

Cloud-based Fully-Managed DaaS (5 yr)

Savings (%)

Hardware Costs

$180 – $258K

Included ($20K – $28K thin clients only)

~88-92% savings

Software Costs

$22K – $38K

Included

100% savings

Operational Costs

$475K – $675K

$244K – $473K

~0.4-64% savings

Power & Cooling Costs

$20K – $40K

Minimal/Included

~95-100% savings

Soft Costs

$85K – $91K

$31K – $33K

~64–67% savings

Total Cost of Ownership

$782K – $1.1M

$295K – $534K

~32–73% savings

Example Organization (100 desktops, 5-year refresh cycle): Potential savings of approximately $248,000 to $805,000 over five years.

Fully Managed DaaS vs. DaaS: Why Fully Managed Matters

While many cloud desktop solutions, such as Microsoft Azure Virtual Desktop (AVD), offer cloud-based virtualization, not all solutions are created equal. AVD, while cloud-based, is not a fully managed service. Organizations adopting AVD often face hidden complexities and additional costs, including:

  • Technical Expertise Required:
    AVD implementations typically necessitate deep Azure-specific knowledge, creating additional burden on IT teams. The administrative complexity can significantly increase costs and staffing requirements.
  • Additional Management Layers (e.g., Nerdio):
    Solutions like Nerdio are frequently layered on top of AVD to simplify management. While helpful, these third-party tools substantially increase subscription costs and add layers of complexity that dilute the financial advantage of moving to the cloud.
  • Higher Total Cost of Ownership (TCO):
    Due to the combined cost of Azure infrastructure, third-party management tools, and required additional staffing or external support, the TCO for AVD often closely resembles or even exceeds traditional VDI solutions.

Apporto’s fully managed DaaS platform, by contrast, eliminates these hidden complexities:

  • Complete Management:
    Apporto handles all infrastructure, software, security, and operational management, significantly reducing your IT overhead.
  • No Hidden Costs:
    Transparent, predictable pricing means no additional third-party subscriptions or unforeseen expenses.
  • Simplified Implementation:
    No Azure-specific certifications or deep expertise required—your team can focus on strategic tasks rather than infrastructure management.
  • Predictably Lower TCO:
    Achieve up to 65% TCO savings compared to traditional VDI and significant savings over partially managed solutions like AVD plus Nerdio.

Bottom Line:
Fully managed DaaS from Apporto delivers genuine simplicity, lower costs, and reduced complexity, unlike alternatives such as AVD.

 

Real-World Validation

Organizations that have transitioned from legacy VDI to Apporto’s Cloud-Based Fully-Managed DaaS consistently report significant operational improvements:

  • Reduced Complexity:
    “Previously, we had two people working on VMware and Citrix, and now they can focus on higher-value tasks. The service runs much better. We wish we had made the change sooner.”
    — Travis Nation, CIO, Seattle University
 
  • Better User Experience:
    “I was floored by the performance of the virtual desktop.”
    — Gwen Britton, Southern New Hampshire University
 
  • Predictable, Lower Costs:
    “Apporto costs 50% to 75% less than traditional solutions.”
    — Gerry Fulbrook, VP of Academic Technologies, SNHU
 

Why Apporto? The Clear Advantage for Small to Mid-Sized Businesses

Small to mid-sized organizations need solutions that deliver immediate value, simplicity, and reliability. Apporto’s Cloud-Based Fully-Managed DaaS solution uniquely meets these needs through a combination of cutting-edge technology, proven market validation, and seamless onboarding:

Simplified Management

  • Reduced IT Complexity:
    Fully cloud-native Kubernetes (K8s) architecture eliminates costly infrastructure investments and significantly reduces administrative burdens.
  • Rapid Deployment:
    Fast, straightforward implementation with centralized, intuitive management enabling quick scaling and minimal IT overhead.

Secure Browser-Based Access

  • Anywhere, Any Device Productivity:
    Browser-based delivery enables seamless, secure productivity from any device—Windows, Mac, or Linux—without client software or VPNs.
  • Enterprise-Grade Security:
    Built-in Zero Trust architecture and multi-factor authentication provide advanced protection of sensitive corporate data, ensuring compliance and peace of mind.

Optimized User Experience

  • High-Performance Desktops:
    Native-like desktop responsiveness with 4K resolution at 60fps, supporting up to three monitors, ensuring employee satisfaction and productivity.
  • Real-Time Collaboration & Cloud File Management:
    Facilitate interactive teamwork through live co-editing, integrated voice and chat, screen sharing, and seamless access to cloud storage (OneDrive, Google Drive, Dropbox, Box).

AI-Powered Virtual Assistant: Portia

  • Proactive User Support:
    Apporto’s Portia AI Virtual Assistant significantly reduces helpdesk workloads by proactively identifying and solving desktop performance issues in real-time, leveraging context-aware analytics.
  • Enhanced Productivity:
    Real-time user assistance helps employees swiftly resolve common problems, enhancing user satisfaction and minimizing downtime.

Flexible Scalability & Integration

  • Instant Cloud Bursting:
    Quickly scale desktops for temporary staff, seasonal peaks, remote locations, or emergencies without additional infrastructure investments.
  • Seamless Integration & Intelligent Analytics:
    Effortlessly integrate with existing enterprise authentication systems (SSO) and leverage built-in analytics to gain real-time insights into user performance and productivity.

Proven Industry Recognition

  • Trusted by Industry Experts:
    Recognized by Gartner’s Magic Quadrant, with a 100% “would recommend” rating on Gartner Peer Insights, Apporto is a trusted solution provider, delivering over 2.5 million desktops worldwide.
  • Independent Validation:
    “I spent the past few months digging into next-gen VDI/DaaS vendors like Apporto. This class of companies is taking root to replace Citrix & VMware. Scary, but it’s just the natural cycle of the seasons.”
    — Brian Madden, Independent Industry Analyst & Consultant, EUC Expert
 

Ready to see the Apporto difference?

  • Schedule your personalized demo to experience Apporto firsthand.
  • Request a complimentary, tailored TCO analysis from our experts.
  • See how quickly Apporto can transform and streamline your desktop strategy.

Apporto: Simplifying IT, Empowering People, Driving Growth.

Mike Smith

Mike Smith leads Marketing at Apporto, where he loves turning big ideas into great stories. A technology enthusiast by day and an endurance runner, foodie, and world traveler by night, Mike’s happiest moments come from sharing adventures—and ice cream—with his daughter, Kaileia.